In my Sunday, January 4, 2009 weekly news report, I included the following Good News/Bad News items for Panama looking ahead to 2009:
The first concerning Crime
The 2008 Report: State of the Region, recently developed by the State of the Nation Program, with support from public and private institutions in Central America, indicates that although the indicators of social and criminal violence in this country are low compared to northern Central America, there is an “upward trend” of concern. The document is based on the current strategic situation in the region and recent criticicism from the public about the inaction of the authorities to confront the problems of insecurity (that is violence and crime). Last month the judicial authorities admitted the existence of 74 gangs in Panama and San Miguelito. Los enfrentamientos entre éstas, cobraron la vida de tres menores de edad. Clashes between them resulted in the deaths of three children. Debido al incremento de los delitos, el Ministerio Público creó la nueva Fiscalía Superior contra el Crimen Organizado. Due to the increase in crime, the Public Prosecutor’s Office created the new office of Senior Prosecutor Against Organized Crime. On the issue of insecurity, the head of the National Police Information, Humberto Brid, has agreed to “urge” the government to do a restructuring of the national security system.
The report is available on the website www.estadonacion.or.cr/ estadoregion2008).
Panama and the Recession
While Panama seems recession proof according to the experts as far as financial concers, the global recession has ended the export of metals for recycling. This decline in the purchase price of scrap metals at the local level has triggered the closure of several companies. Recycling Central SA, one of the few remaining in the market has cut its staff by 70% because of the low activity and demand at international level. On a positive note, this will certainly cut down on the removal of manhole covers, copper cable and other metals subject to vandalism and theft.
Fuel and Energy
Drops in fuels price since the announcement of the price cap last September have been extraordinary. The manager of the Consumer Protection and Competition Authority, Pedro Meilán said the hikes and cuts in fuel have to do with consumption. Thursday’s La Prensa reported prices for 91 and 95 octane were expected to drop further on the 16th of January, by 8 and 11 cents respectively.
The projections for hydroelectric generation for 2009 are very positive as a result of the abundant rains in the last months of 2008. Additionally the Government announced the reduction of energy rates by 20 to 25% as a direct result of the drop in the price of combustibles.
Panama Weekly Review with Sandra Snyder is broadcast Sunday evening from 6:00 to 6:30 p.m. at 93.5 FM (Radio Metropolis) or you can listen to the full news program anytime at www.pbcpanama.com. Brought to you by the Panama Broadcasting Corporation, S.A.
